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HomeMy WebLinkAbout1991-09-24 - AGENDA REPORTS - CONTRACT 40 TRANSIT SHELTERS (2)AGENDA REPORT City Manager Approv ok Item to be presented by: John E. Medina UNFINISHED BUSINESS DATE: September 24, 1991 SUBJECT: CONTRACT FCR 40 TRANSIT SHELTERS DEPARTMENT: Public Works After evaluating proposals from Shelter Concepts, Gannet Outdoor Advertising and Bustop Shelters of California, staff recommended at the August 27, 1991 Council meeting that Bustop Shelters be awarded the contract to provide 40 advertising bus stop shelters. Representatives from both Gannett and Bustop addressed the Council on the merits of their respective proposals. The Council, observing the desire of these two companies to compete with one another to provide the City advertising bus shelters directed staff to renegotiate the original proposal. After meeting with Bustop and Gannett, staff has summed the 10 year value of both proposals. During the renegotiation, Gannett stated that they were not ready to offer any more than what they had previously submitted in their original proposal, a 10 -year value of $660,000. Bustop offered ten more non -advertising bus benches during the renegotiations (value $5,000) for a total of 20 benches. Bustop's proposal would give the City a grand total of 71 stops where riders could rest on seats and have trash receptacles available. All shelter benches and trash receptacles would be made of recycled material. A break down is listed on the following page. Continued To: M__ s' V Agenda Item: B.�U TQp GANNETT Ad Revenue $582,000" $660,000 Signing Bonus 30,000 0 4 Shelters/20 Benches 50,000 0 Trash Containers/Benches 2,500 0 Maintain City's 7 Shelters and 20 Benches 163,000 0 TOTAL VALUE: $828,300 X660,000 During the renegotiation, Gannett stated that they were not ready to offer any more than what they had previously submitted in their original proposal, a 10 -year value of $660,000. Bustop offered ten more non -advertising bus benches during the renegotiations (value $5,000) for a total of 20 benches. Bustop's proposal would give the City a grand total of 71 stops where riders could rest on seats and have trash receptacles available. All shelter benches and trash receptacles would be made of recycled material. A break down is listed on the following page. Continued To: M__ s' V Agenda Item: Contract for 40 Bus Shelters Page 2 Ad Shelters 40 40 Optional Ad Shelters; City owned old 7 0 City owned new 4 0 Non -Ad Benches 20 0 TOTAL: 71 �4t After meeting with both Gannett and Bustop, staff requested both to respond to specific conditions originally set in the RFP. Attachments I and II provided side by side comparisons of their responses. The Council was also addressed by a representative from Coast United Advertising relating to the above proposals. Coast outlined a proposal whereby they would place approximately 100-150 advertising bus benches. Annual guaranteed revenue from this proposal is estimated between $3,000 and $4,500. Staff recommends that the Council continue its policy set July 11, 1989 of phasing out advertising bus benches with non -advertising benches. Staff desires to amend this policy by phasing out advertising benches with bus shelters as well as non -advertising bus benches. Additionally, at the August 24, 1991 meeting, the Council directed staff to investigate the placement of more shelters in Canyon Country. Staff has spoken with representatives of this area for the assignment of more shelters. At the time of writing of this report, specific locations have not been sited, but dialogue has been initiated and staff expects to meet the needs of Canyon Country residents. A copy of the agreement approved by the City Council is on file in the Clerk's office. RECOMMENDATION 1. Authorize the Mayor to sign a 10 -year agreement with Bustop Shelters of California, Inc. to install and maintain 44 bus shelters and 20 benches. 2. Amend the Council's direction of July 11, 1989 to include advertising bus shelters to phase out advertising. Bus Shelter Comparison Chart I Bus Shelter Comparison Chart II JEM:del:gmm AGENBUS BUSTOP SHELTERS OUTDOOR ATTACHMENT I GANNETT OF CALIFORNIA 1. Quality of Proposals Excellent Very Good 2. Qualifications of Firm Very Good Very Good 3. References Very Good Very Good 4. Term of Contract 10 Year 10 Year 5. Maintain City Shelters Yes Yes 6. Public Service Announce. 5% 5% 7. Preplacement Review of Advertising Copy Yes No 8. Solar Yes No 9. Recycled Materials Yes Yes 10. Maintenance Twice/Weekly Twice/Weekly 11. Signing Bonus Yes No 12. Free Shelters Yes No 13. Free Benches Yes No 14. Percent Revenue to City 18% 20% 15. Guaranteed Income to City: - Signing Bonus $30,000 N/A - 4 Free Shelters 40,000 N/A - 10 Free Benches 10,000 N/A - Free Trash Receptacles 2,500 N/A - 10 Yr. Maintenance of City -owned Shelters 85,800 NIA - 10 Year Maintenance of Free Benches 78,000 N/A - First Year 31,200 57,600 - Second Year 37,200 57,600 - Third Year 43,200 57,600 - Fourth Year 49,200 57,600 - Fifth Year 55,200 57,600 - Sixth Year 61,200 74,400 - Seventh Year 67,200 74;400 - Eighth Year 73,200 74,400 - Ninth Year 79,200 74,400 - Tenth Year 85,200 74,400 TOTAL ESTIMATED REVENUE FOR THE 10 YEAR CONTRACT: $828.300 $660,000 Attachment H Bustop Shelters of California would prefer a ten (10) year contract with the City, but they are willing to negotiate a five (5) year contract. Gannett Outdoor requests a minimum ten (10) year contract with the City. Bustop Shelters of California will give the City of Santa Clarita four free non -advertising bus shelters to be installed at locations to be determined by the City: Bustop Shelters will clean and maintain the shelters at no cost to the City and will place revenue-producing advertising in these shelters at the City's request. Gannett Outdoor has not offered free non -advertising bus shelters to the City. Bustop Shelters of California will give the City of Santa Clarita 20 free non-advertisingbus benches to be placed at locations to be determined by the City. Bustop Shelters will clean and maintain the benches at no cost to the City. Gannett Outdoor has not offered free non -advertising bus benches to the City. MILM11:031 •' Bustop Shelters of California has agreed to assume maintenance, repair, liability and advertising (it revenue-producing advertising is requested by the City) for the seven existing City -owned bus shelters. With or without advertising, this service will be free to the City. Gannett Outdoor will be willing to assume the maintenance, repair and display of advertising in the City -owned shelters at no charge as long as Gannett Outdoor has an opportunity to sell advertising on these shelters. ADDITIONAL SHELTERS Bustop Shelters of California will install additional bus shelters, beyond the 40 shelters agreed to in the contract; as requested by the City. Gannett Outdoor would be willing to negotiate additional shelter sites only after they have performed Daily Effective Circulation STudies for each respective location requested by the City. Bustop Shelters of California will aid the City in preparing public service announcements to be posted in the bus shelters. Gannett Outdoor has indicated they cannot provide this service.